Sam Bankman-Fried was convicted of fraud following the collapse of the cryptocurrency exchange FTX. Here’s what investors need to know
theconversation.comIn the fast-paced world of cryptocurrency, vast sums of money can be made or lost in the blink of an eye. In early November 2022, the crypto exchange FTX was valued at more than US$30 billion.
By the middle of that month, FTX was in bankruptcy proceedings. And less than a year later, on Nov. 3, 2023, its founder, Sam Bankman-Fried, was found guilty of seven counts of money laundering and fraud, following a trial that featured less than a month of testimony and only about four hours of jury deliberation.
D. Brian Blank and Brandy Hadley are professors who study finance, executives, firm governance and fintech. They explain how and why this incredible collapse happened, what effect it might have on the traditional financial sector and whether you should care.
A million years ago, back in 2019, Sam Bankman-Fried founded FTX, a company that ran one of the largest cryptocurrency exchanges.
